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(B) ALEXANDRIA 00290
(C) ALEXANDRIA 00291
-
1. (CONFIDENTIAL - ENTIRE TEXT.)
-
-
2. SUMMARY AND COMMENT: THIS TELEGRAM TRANSMITS
THE THIRD AND FINAL INSTALLMENT IN OUR SERIES
ON THE ISLAMIC RIGHT IN ALEXANDRIA. WHILE THE
SPIRITUAL FORCE OF RIGHTIST ISLAM IS GROWING,
ITS POLITICAL POTENTIAL IS STILL RELATIVELY
UNFORMED AND DIFFICULT TO GAUGE IN ALEXANDRIA,
EVEN IF IT EXISTS BEHIND THE SCENES. WHERE THE
ISLAMIC RIGHT IS HAVING ITS INFLUENCE MORE
PALPABLY FELT IS IN COMMERCE, SOCIAL AND WELFARE
ACTIVITIES, AND PHILANTHROPY. FOR THE TIME
BEING, THIS HAS NOT TRANSLATED INTO ANY DIRECT
POLITICAL SPOILS. HOWEVER, BUSINESSMEN WITH
ISLAMIC CREDENTIALS (OR IN ORDER TO OBTAIN
ISLAMIC CREDENTIALS) DONATE MONEY TO THE "ISLAMIC
GAMAAT," SOME OF THE PROMINENT RELIGIOUS LEADERS
MENTIONED IN PART II, AND MANY OF THE WELFARE
AND CHARITABLE ACTIVITIES THEY SPONSOR. IN
THIS WAY, THE ACTIVITIES OF THE ISLAMIC ECNOMIC
SECTOR ARE SOMEWHAT DISTURBING, TENDING TO PROVIDE
THE FINANCIAL WHEREWITHAL TO POTENTIALLY DESTABILIZING
SOCIO-POLITICAL GROUPS WHO SOMETIMES HAVE A VERY
DIFFERENT POLITICAL AGENDA THAN THE GOE. IN
OTHER WAYS, HOWEVER, THESE BUSINESSMEN ACTUALLY
CONTRIBUTE TO THE STABILITY OF THE CURRENT
REGIME BY PROVIDING A PORTION OF THE SAFETY NET
AND SERVICES WHICH AN OVERSTRETCHED GOVERNMENT
CANNOT PROVIDE. END SUMMARY AND COMMENT.
-
-
WHO'S WHO IN ALEXANDRIA'S ISLAMIC BUSINESS WORLD?
--------------------------------------------- ----
3. AN INCREASING NUMBER OF COMPANIES IN ALEXANDRIA,
AS ELSEWHERE IN EGYPT, ARE ADDING "ISLAMIC" TO
THEIR TITLES OR--MORE COMMONLY--LETTING WORD
SPREAD THAT THEY ARE ISLAMIC COMPANIES. IN
PRACTICE, THIS SOMETIMES MEANS USING ISLAMIC
BANKING INSTITUTIONS AS MUCH AS POSSIBLE AND
GIVING PREFERENCE TO MUSLIMS AS EMPLOYEES. IN
SOME INSTANCES, BUSINESSMEN ARE AFFILIATING
THEMSELVES WITH SUCH ACTIVITIES OR COMPANIES
BECAUSE IT IS CHIC TO DO SO. OTHERS INVOLVE
THEMSELVES FROM SINCERE CONVICTION, BECAUSE THEY
HOPE TO PROFIT FROM SUCH ALLIANCES, OR THE
MOTIVATION MAY BE A COMBINATION OF THE ABOVE.
-
-
4. TWO PILLARS OF THE LOCAL BUSINESS ESTABLISHMENT,
MUSTAFA AL-NAGGAR, AND MOHAMMED RAGAB HAVE LONG
BEEN IDENTIFIED WITH THIS CURRENT, ALTHOUGH THEY
ARE NOT AFFILIATED DIRECTLY WITH ANY ISLAMIC
COMPANIES PER SE. TOGETHER, THEY ARE AMONG THE
LEADING BENEFACTORS IN ALEXANDRIA TO ISLAMIC
INDIVIDUALS, ORGANIZATIONS AND SOCIETIES--SOME RADICAL,
SOME NOT. FOR EXAMPLE, AL-NAGGAR IS PERSONALLY
CLOSE TO SHAYKH AHMAD AL-MAHALLAWI, ALTHOUGH HE
(NAGGAR) NEVER ARTICULATES SIMILARLY INTOLERANT
POLITICAL OR RELIGIOUS VIEWS AND, INDEED, INSISTS
THAT AL-MAHALLAWI HAS MELLOWED. NEVERTHELESS,
NAGGAR IS CONSIDERED ONE OF THE TWO WEALTHIEST
MEN IN ALEXANDRIA, AND HIS SUPPORT FOR THE
ISLAMIC RIGHT HERE, REGARDLESS OF MOTIVATION,
IS SIGNIFICANT.
-
-
5. MOHAMMAD RAGAB IS YOUNGER, MORE DYNAMIC, AND--IN
THE VIEW OF OUR MUCH PRAISED COMMERCIAL SPECIALISTS--A
BETTER BUSINESSMAN THAN NAGGAR. HE IS NOT AS
WEALTHY, BUT HE IS MORE AMBITIOUS AND OUTSPOKEN.
A SIGN OVER THE BAR NEXT TO THE OLYMPIC-SIZED
INDOOR POOL AT HIS SUMPTUOUS HOME ADVERTISES
THAT "FOR THE SAKE OF YOUR HEALTH, THE RAGABS
SERVE ONLY FRUIT JUICES AND SOFT DRINKS."
-
-
6. THERE IS BAD BLOOD BETWEEN RAGAB AND NAGGAR,
LARGELY BECAUSE THE FORMER MOVED INTO THE IMPORTED
FOOD AREA WHICH HAD BEEN NAGGAR'S MAINSTAY WHEN
THE CAR IMPORT AND HEAVY MACHINERY BUSINESS,
WHICH WAS RAGAB'S PRINCIPAL ACTIVITY, LOST
VIABILITY WITH THE NEW IMPORT RESTRICTIONS.
RAGAB CURRENTLY HEADS THE ALEXANDRIA BUSINESSMEN'S
GROUP BUT HAS AMBITIONS TO CUT A WIDER SWATH.
AS EFFECTIVE AS HE IS, HE IS DISLIKED IN SOME
CIRCLES BECAUSE HE IS VIEWED AS TOO MUCH OF A
SELF-PROMOTER. NOT IDENTIFIED WITH ANY ONE
ISLAMIC SPIRITUAL PERSONALITY IN ALEXANDRIA, RAGAB
IS ALLEGED TO DONATE CONSIDERABLE SUMS OF MONEY
TO A VARIETY OF ISLAMIC CHARITIES AND "ISLAMIC
GAMAAT." IN ADDITION, HE HAS HELPED PROMOTED
BUSINESSMEN WHO ARTICULATE A SIMILAR, "ISLAMIC,"
POINT OF VIEW.
-
-
7. ANOTHER FIGURE WHO IS OF INTEREST LOCALLY IS
DR. ALI AL-MEHELBA WHO HEADS THE AL-ANDALUS ACID
COMPANY (DISCUSSED IN DETAIL IN 86 ALEXANDRIA 1406).
TRAINED AS A MEDICAL DOCTOR, AL-MEHELBA MORE OR
LESS CAME FROM NOWHERE. HIS CONSTRUCTION
ACTIVITIES (UPSCALE HOUSING, HOSPITALS, AND
TOURIST VILLAGE SCHEMES) ARE WIDE SCALE AND ARE
ALLEGEDLY FINANCED THROUGH SHAREHOLDING AND
PYRAMID FINANCING IN A WAY TO AVOID THE APPEARANCE
OF PAYING "INTEREST." HOWEVER, HE APPEARS TO
HAVE OVER EXTENDED HIMSELF, AND LOCAL SOURCES
TELL US HE MAY BE IN TROUBLE. THIS HAS NOT
STOPPED HIM, HOWEVER, FROM PLANNING ADDITIONAL
PROJECTS.
-
-
8. MEHELBA IS BELIEVED TO HAVE CLOSE TIES AND
"FRIENDS" IN SAUDI ARABIA. HE MAINTAINS BRANCHES
OF HIS FIRM THERE, IN PART TO ELICIT FINANCIAL
SUPPORT FROM THE LARGE EXPATRIATE EGYPTIAN
COMMUNITY WHO OFTEN INVEST IN HIS CONSTRUCTION
PROJECTS. IT IS ALSO RUMORED THAT UNIDENTIFIED
SAUDI SOURCES GAVE MEHELBA HIS INITIAL BOOST
AND MAY ALSO BE CALLED UPON TO RESCUE HIM IF HIS
CURRENT LIQUIDITY PROBLEMS ARE NOT RESOLVED.
-
-
9. TWO OTHER INTERESTING BUSINESS FIGURES HAVE
ALLEGED TIES TO SAUDI ARABIA. ONE, TALAAT
MUSTAFA IBRAHIM (USUALLY KNOWN AS TALAAT MUSTAFA)
RUNS THE HUGE ALEXANDRIA CONSTRUCTION COMPANY.
NO ONE REALLY KNOWS WHERE MUSTAFA GOT HIS ORIGINAL
SEED MONEY: ALEXANDRIANS ARE SUSPICIOUS THAT
MUSLIM BROTHERS (MANY OF WHOM WERE EXILED IN
SAUDI ARABIA) HELPED HIM OBTAIN SAUDI BACKING
IN THE MID-1970'S.
-
-
10. IN ANY EVENT, MUSTAFA TENDS TO WEAR HIS
ISLAM ON HIS SLEEVE, WHILE HIS WIFE, WHO WEARS
THE "HEGAB" OR HEAD COVERING, HAS MADE HERSELF
UNWELCOME IN SOME QUARTERS BECAUSE OF HER INCESSANT
EXHORTATIONS TO OTHER UPPER CLASS WOMEN TO DO
LIKEWISE. MUSTAFA'S MOST CONTROVERSIAL MOVE TO
DATE HAS BEEN THE PLACEMENT OF A LARGE, AND
HIGHLY VISIBLE BILLBOARD, WITH THE ISLAMIC CREED
EMBLAZONED ON IT, ON TOP OF ONE OF HIS BUILDINGS
(86 ALEXANDRIA 1425). HE HAS VERY CLOSE RELATIONS
WITH MUHAMMED RAGAB, AND THE LATTER HAS BEEN
ACCUSED BY DETRACTORS OF TRYING TO PROMOTE HIM
INTO A KEY POSITION WITHIN THE ALEXANDRIA
BUSINESSMEN'S GROUP. TOGETHER, THE TWO WERE
RECENTLY INVOLVED IN A CONTROVERSIAL (BUT NOT
UNPOPULAR) PROPOSAL TO BUILD AN ISLAMIC-ORIENTED
PRIVATE COLLEGE IN ALEXANDRIA. THE MINISTER OF
EDUCATION RECENTLY QUASHED THE IDEA ON CURRICULUM
GROUNDS, BUT MOVES ARE UNDERWAY TO TRY TO RESUSCITATE IT.
-
-
11. ANOTHER "MYSTERIOUS" BUSINESSMAN WHO IS
BECOMING PROMINENT IS HAJJ AHMED EBEID (AKA
AHMAD UBAYD). HE IS AFFILIATED WITH TWO ISLAMIC
INVESTMENT COMPANIES. THERE HAVE BEEN SOME
SUGGESTIONS THAT EBEID IS AFFILIATED WITH ALI
AL-MEHELBA, BUT THIS HAS NOT YET BEEN CONFIRMED.
-
-
ALEXANDRIA ACTIVITIES OF ISLAMIC COMPANIES AND BANKS
--------------------------------------------- -------
12. THERE ARE SEVERAL "ISLAMIC COMPANIES" BASED
IN ALEXANDRIA, INCLUDING AL-ANDALUS ACID
(MENTIONED ABOVE), AL-MADINA AL-MINAWARA (REAL
ESTATE DEVELOPMENT), AL-MARWA, AL-SAFAA, AND THE
ALEXANDRIA CONSTRUCTION COMPANY, AN OLDER
COMPANY FOUNDED IN 1974. A FORMER GOVERNOR OF
ALEXANDRIA TOLD US ON JANUARY 29 THAT THE
ISLAMIC COMPANIES ARE HEALTHY, GROWING RAPIDLY,
AND THAT THIS TREND WILL CONTINUE.
-
-
13. THE LARGEST SUCH FIRM (AND ONE OF THE OLDEST)
IS PROBABLY TALAAT MUSTAFA'S ALEXANDRIA
CONSTRUCTION COMPANY. THIS COMPANY HAS BUILT
600 FLATS IN MONTAZA AND IS CONSTRUCTING SUMMER
FLATS IN MAMOURA. TO THE WEST OF THE CITY, IT
CONSTRUCTED ITS FIRST PROJECT AND A PLANT TO
EXTRACT SALTS IN 1974 AND BUILT 1,500 FLATS TO
ACCOMMODATE THE WORKERS.
-
-
14. IN AN OCTOBER 1986 DISCUSSION, MUSTAFA
STATED THAT HIS COMPANY, LIKE MANY OTHERS, PUTS
ITS MONEY IN THE FAYSAL BANK AND OTHER ISLAMIC
BANKS BECAUSE THEY "TRUST" THEM AND ALSO, BECAUSE
THEY CAN TAKE DOLLARS OUT OF EGYPT "IF OR WHEN
NECESSARY." HE FLATLY DENIED THAT FUNDS FOR
ISLAMIC COMPANIES COME FROM SAUDIS OR THE SAG,
ALLEGING THAT THE MONEY COMES SOLELY FROM EGYPTIAN
EXPATS IN SAUDI ARABIA AND THE GULF WHO WANT TO
INVEST IN EGYPT, BUY FLATS, AND WHO HAVE "MORE
TRUST" IN ISLAMIC INSTITUTIONS THAN IN SECULAR
ONES.
-
-
15. WHILE THE FAYSAL BANK HIRES ONLY MUSLIMS,
(86 ALEXANDRIA 1215), THIS IS NOT TRUE OF SOME
OF THE COMPANIES. A GOOD CHRISTIAN SOURCE TOLD
US RECENTLY THAT HE HAS FRIENDS WHO WORK IN ONE
OF THE AL-ANDALUS COMPANIES. MANY ARE DESIRABLE,
HE SAID, BECAUSE OF THEIR KNOWLEDGE OF FOREIGN
LANGUAGES.
-
-
ISLAMIC WELFARE ASSOCIATIONS IN ALEXANDRIA
------------------------------------------
16. EMBASSY REPORTING 986 CAIRO 28338) HAS
DETAILED THE IMPORTANT ROLE PRIVATE WELFARE
ASSOCIATIONS ROLE PLAY AS A SAFETY NET AND AS A
STABILIZING FORCE IN A CHANGING SOCIETY. SIMILAR
ORGANIZATIONS PROSPER IN ALEXANDRIA, AND MANY OF
THEM ARE SPONSORED BY THE ISLAMIC RIGHT. SOME
OF THESE, LIKE THE "FAJR AL-ISLAM" AND "ASR-AL-ISLAM"
CLINICS MENTIONED IN REF B ARE AFFILIATED TO
RADICAL MOSQUES (COMMENT: THE "FAJR AL-ISLAM"
CHARITABLE SOCIETY WAS THE ONLY ISLAMIC CHARITABLE
SOCIETY IN ALEXANDRIA BANNED BY THE GOE IN THE
1981 CRACKDOWN. THE BAN WAS SUBSEQUENTLY LIFTED.
END COMMENT.)
-
-
17. MORE COMMONLY, HOWEVER, THE ISLAMIC RIGHT
SPONSORS MODERATE CHARITY AND WELFARE ACTIVITIES
WITH FEW OR NO POLITICO-RELIGIOUS TRAPPINGS.
ALEXANDRIA PHYSICIANS ARE PARTICULARLY ACTIVE
IN ESTABLISHING POLYCLINCS. THEY SOLICIT
PRIVATE DONATIONS FROM MOSQUES, BUY THEIR
EQUIPMENT, AND STAFF THEIR CLINICS WITHOUT
ASSISTANCE FROM THE MINISTRIES OF SOCIAL AFFAIRS
OR HEALTH. OFTEN, PHYSICIANS FROM THE UNIVERSITY
DONATE THEIR TIME IN THE AFTERNOONS. HOSTELS FOR
NEEDY FEMALE STUDENTS FROM OUTSIDE ALEXANDRIA,
AS WELL AS DAY CARE AND OLD-AGE CENTERS, ARE OTHER
TYPES OF ACTIVITIES SUPPORTED BY WELL-TO-DO
DEVOUT MUSLIMS. BECAUSE THE GOE IS UNABLE TO
PROVIDE ADEQUATE FACILITIES FOR THESE VERY
NECESSARY ACTIVITIES, ISLAMIC SOCIAL WELFARE
ASSOCIATIONS OF THIS NATURE FULFILL A STABILIZING
SOCIAL FUNCTION.
-
-
PHILANTHROPY FROM THE ISLAMIC RIGHT
-----------------------------------
18. MANY OF THE PROMINENT OWNERS OF ISLAMIC
COMPANIES, SUCH AS MOHAMMED RAGAB, MUSTAFA AL-NAGGAR,
AND DR. ALI MAHELBA, ARE ALSO WELL KNOWN
PHILANTHROPISTS. FOR EXAMPLE, RAGAB AND AL-NAGGAR
HAVE CONTRIBUTED LARGE AMOUNTS OF MONEY TO A NEW
DRUG REHABILITATION HOSPITAL IN MONTAZA;
AL-NAGGAR HAS DONATED VERY EXPENSIVE EQUIPMENT
TO THE UNIVERSITY OF ALEXANDRIA HOSPITAL; AND
DR. MAHELBA TOLD US VERY RECENTLY THAT HE IS SETTING
UP A PROJECT TO SUPPLY FOOD TO THE POOR BY GETTING
WEALTHY PEOPLE TO DONATE PROVISIONS. THE PROJECT HAS
BEEN WORKED OUT ON PAPER; HE NOW SEEKING SOMEONE
TO ADMINISTER IT. THIS LIST OF PHILANTHROPIC
ACTIVITIES IS A LONG ONE AND AN IMPORTANT
(AND IN SOME CASES, VITAL) SOURCE OF SUPPORT TO
BOTH PUBLIC AND PRIVATE HOSPITALS, CLINICS,
ORPHANAGES, AND SPECIALIZED WELFARE INSTITUTIONS.
WITH THE POSSIBLE EXCEPTION OF USAID, "ISLAMIC"
BUSINESSMEN ARE PROBABLY THE MOST IMPORTANT BENEFACTORS
OF PRIVATE VOLUNTARY ORGANIZATIONS (ISLAMIC OR
OTHERWISE) IN ALEXANDRIA AT THE PRESENT TIME.
-
-
19. CONCLUDING COMMENT: ALTHOUGH THE ECONOMIC
SQUEEZE DEPICTED IN 86 ALEXANDRIA 1301 HAS EASED
SOMEWHAT, INCREASED NUMBERS OF UNEMPLOYED AND RISING
PRICES CONTINUE TO BE A SERIOUS POTENTIAL PROBLEM
IN ALEXANDRIA, AS ELSEWHERE. THE LOCAL GOVERNMNET
IS TRYING TO GET A HANDLE ON THE MANY INFRASTRUCTURAL
INADEQUACIES AND GENERAL UNCLEANLINESS WHICH
PLAGUE ALEXANDRIA, BUT THE PROBLEMS THE GOVERNORATE
FACES CLEARLY OUTNUMBER THE AMOUNT OF RESOURCES
IT HAS AVAILABLE TO CORRECT THEM OR AT LEAST
BRING THEM UNDER CONTROL.
-
-
20. IN THIS SENSE, THE EXPANDING ISLAMIC
PRIVATE SECTOR COMPANIES ARE A CONSTRUCTIVE
FORCE, PROVIDING JOBS AND CONTRIBUTING GENEROUSLY
TO VITALLY NEEDED SOCIAL SERVICES THROUGH A WIDE
RANGING COMMITMENT TO WELFARE AND PHILANTHROPIC
ACTIVITIES. THUS, WHILE IT HAS BECOME FASHIONABLE
IN SOME QUARTERS TO VIEW THE ISLAMIC RIGHT
SOLELY IN TERMS OF A THREAT TO EGYPTIAN STABILITY,
IN SOME RESPECTS, MODERATE ISLAMIC PROPONENTS
MIGHT ACTUALLY CONTRIBUTE TO EGYPT'S STABILITY,
PROVIDED THE ECONOMY DOES NOT FURTHER DETERIORATE
AND RADICALIZE KEY SEGMENTS OF THE POPULATION.
IF THIS WERE TO HAPPEN, EXTREMIST LEADERS FROM
THE ISLAMIC RIGHT, WHO IN ALEXANDRIA HAVE ADOPTED
A LOW PROFILE, COULD VERY WELL TRY TO EXPLOIT
A TROUBLED SITUATION AND SEIZE THE INITIATIVE
FROM THE NAGGARS, THE RAGABS, AND THEIR ILK
WHO, DESPITE THEIR FINANCIAL SUPPORT FOR SOME
NON-VIOLENT RADICAL ELEMENTS, SEEM DEDICATED ONLY
TO SLOW, EVOLUTIONARY CHANGE IN EGYPT. END
CONCLUDING COMMENT.
HAMBLEY

Raw content

C O N F I D E N T I A L SECTION 01 OF 04 ALEXANDRIA 00292
USCINCCENT FOR POLAD HOWELL
E.O. 12356: DECL: OADR
TAGS: KPRP, PINS, PGOV, PHUM, ECON, PINR, SOCI, EG
SUBJECT: ISLAMIC TRILOGY, PART III: COMMERCIAL AND
PHILANTHROPIC ACTIVITIES OF THE ISLAMIC
RIGHT IN ALEXANDRIA
REF: (A) ALEXANDRIA 00289
(B) ALEXANDRIA 00290
(C) ALEXANDRIA 00291
-
1. (CONFIDENTIAL - ENTIRE TEXT.)
-
-
2. SUMMARY AND COMMENT: THIS TELEGRAM TRANSMITS
THE THIRD AND FINAL INSTALLMENT IN OUR SERIES
ON THE ISLAMIC RIGHT IN ALEXANDRIA. WHILE THE
SPIRITUAL FORCE OF RIGHTIST ISLAM IS GROWING,
ITS POLITICAL POTENTIAL IS STILL RELATIVELY
UNFORMED AND DIFFICULT TO GAUGE IN ALEXANDRIA,
EVEN IF IT EXISTS BEHIND THE SCENES. WHERE THE
ISLAMIC RIGHT IS HAVING ITS INFLUENCE MORE
PALPABLY FELT IS IN COMMERCE, SOCIAL AND WELFARE
ACTIVITIES, AND PHILANTHROPY. FOR THE TIME
BEING, THIS HAS NOT TRANSLATED INTO ANY DIRECT
POLITICAL SPOILS. HOWEVER, BUSINESSMEN WITH
ISLAMIC CREDENTIALS (OR IN ORDER TO OBTAIN
ISLAMIC CREDENTIALS) DONATE MONEY TO THE "ISLAMIC
GAMAAT," SOME OF THE PROMINENT RELIGIOUS LEADERS
MENTIONED IN PART II, AND MANY OF THE WELFARE
AND CHARITABLE ACTIVITIES THEY SPONSOR. IN
THIS WAY, THE ACTIVITIES OF THE ISLAMIC ECNOMIC
SECTOR ARE SOMEWHAT DISTURBING, TENDING TO PROVIDE
THE FINANCIAL WHEREWITHAL TO POTENTIALLY DESTABILIZING
SOCIO-POLITICAL GROUPS WHO SOMETIMES HAVE A VERY
DIFFERENT POLITICAL AGENDA THAN THE GOE. IN
OTHER WAYS, HOWEVER, THESE BUSINESSMEN ACTUALLY
CONTRIBUTE TO THE STABILITY OF THE CURRENT
REGIME BY PROVIDING A PORTION OF THE SAFETY NET
AND SERVICES WHICH AN OVERSTRETCHED GOVERNMENT
CANNOT PROVIDE. END SUMMARY AND COMMENT.
-
-
WHO'S WHO IN ALEXANDRIA'S ISLAMIC BUSINESS WORLD?
--------------------------------------------- ----
3. AN INCREASING NUMBER OF COMPANIES IN ALEXANDRIA,
AS ELSEWHERE IN EGYPT, ARE ADDING "ISLAMIC" TO
THEIR TITLES OR--MORE COMMONLY--LETTING WORD
SPREAD THAT THEY ARE ISLAMIC COMPANIES. IN
PRACTICE, THIS SOMETIMES MEANS USING ISLAMIC
BANKING INSTITUTIONS AS MUCH AS POSSIBLE AND
GIVING PREFERENCE TO MUSLIMS AS EMPLOYEES. IN
SOME INSTANCES, BUSINESSMEN ARE AFFILIATING
THEMSELVES WITH SUCH ACTIVITIES OR COMPANIES
BECAUSE IT IS CHIC TO DO SO. OTHERS INVOLVE
THEMSELVES FROM SINCERE CONVICTION, BECAUSE THEY
HOPE TO PROFIT FROM SUCH ALLIANCES, OR THE
MOTIVATION MAY BE A COMBINATION OF THE ABOVE.
-
-
4. TWO PILLARS OF THE LOCAL BUSINESS ESTABLISHMENT,
MUSTAFA AL-NAGGAR, AND MOHAMMED RAGAB HAVE LONG
BEEN IDENTIFIED WITH THIS CURRENT, ALTHOUGH THEY
ARE NOT AFFILIATED DIRECTLY WITH ANY ISLAMIC
COMPANIES PER SE. TOGETHER, THEY ARE AMONG THE
LEADING BENEFACTORS IN ALEXANDRIA TO ISLAMIC
INDIVIDUALS, ORGANIZATIONS AND SOCIETIES--SOME RADICAL,
SOME NOT. FOR EXAMPLE, AL-NAGGAR IS PERSONALLY
CLOSE TO SHAYKH AHMAD AL-MAHALLAWI, ALTHOUGH HE
(NAGGAR) NEVER ARTICULATES SIMILARLY INTOLERANT
POLITICAL OR RELIGIOUS VIEWS AND, INDEED, INSISTS
THAT AL-MAHALLAWI HAS MELLOWED. NEVERTHELESS,
NAGGAR IS CONSIDERED ONE OF THE TWO WEALTHIEST
MEN IN ALEXANDRIA, AND HIS SUPPORT FOR THE
ISLAMIC RIGHT HERE, REGARDLESS OF MOTIVATION,
IS SIGNIFICANT.
-
-
5. MOHAMMAD RAGAB IS YOUNGER, MORE DYNAMIC, AND--IN
THE VIEW OF OUR MUCH PRAISED COMMERCIAL SPECIALISTS--A
BETTER BUSINESSMAN THAN NAGGAR. HE IS NOT AS
WEALTHY, BUT HE IS MORE AMBITIOUS AND OUTSPOKEN.
A SIGN OVER THE BAR NEXT TO THE OLYMPIC-SIZED
INDOOR POOL AT HIS SUMPTUOUS HOME ADVERTISES
THAT "FOR THE SAKE OF YOUR HEALTH, THE RAGABS
SERVE ONLY FRUIT JUICES AND SOFT DRINKS."
-
-
6. THERE IS BAD BLOOD BETWEEN RAGAB AND NAGGAR,
LARGELY BECAUSE THE FORMER MOVED INTO THE IMPORTED
FOOD AREA WHICH HAD BEEN NAGGAR'S MAINSTAY WHEN
THE CAR IMPORT AND HEAVY MACHINERY BUSINESS,
WHICH WAS RAGAB'S PRINCIPAL ACTIVITY, LOST
VIABILITY WITH THE NEW IMPORT RESTRICTIONS.
RAGAB CURRENTLY HEADS THE ALEXANDRIA BUSINESSMEN'S
GROUP BUT HAS AMBITIONS TO CUT A WIDER SWATH.
AS EFFECTIVE AS HE IS, HE IS DISLIKED IN SOME
CIRCLES BECAUSE HE IS VIEWED AS TOO MUCH OF A
SELF-PROMOTER. NOT IDENTIFIED WITH ANY ONE
ISLAMIC SPIRITUAL PERSONALITY IN ALEXANDRIA, RAGAB
IS ALLEGED TO DONATE CONSIDERABLE SUMS OF MONEY
TO A VARIETY OF ISLAMIC CHARITIES AND "ISLAMIC
GAMAAT." IN ADDITION, HE HAS HELPED PROMOTED
BUSINESSMEN WHO ARTICULATE A SIMILAR, "ISLAMIC,"
POINT OF VIEW.
-
-
7. ANOTHER FIGURE WHO IS OF INTEREST LOCALLY IS
DR. ALI AL-MEHELBA WHO HEADS THE AL-ANDALUS ACID
COMPANY (DISCUSSED IN DETAIL IN 86 ALEXANDRIA 1406).
TRAINED AS A MEDICAL DOCTOR, AL-MEHELBA MORE OR
LESS CAME FROM NOWHERE. HIS CONSTRUCTION
ACTIVITIES (UPSCALE HOUSING, HOSPITALS, AND
TOURIST VILLAGE SCHEMES) ARE WIDE SCALE AND ARE
ALLEGEDLY FINANCED THROUGH SHAREHOLDING AND
PYRAMID FINANCING IN A WAY TO AVOID THE APPEARANCE
OF PAYING "INTEREST." HOWEVER, HE APPEARS TO
HAVE OVER EXTENDED HIMSELF, AND LOCAL SOURCES
TELL US HE MAY BE IN TROUBLE. THIS HAS NOT
STOPPED HIM, HOWEVER, FROM PLANNING ADDITIONAL
PROJECTS.
-
-
8. MEHELBA IS BELIEVED TO HAVE CLOSE TIES AND
"FRIENDS" IN SAUDI ARABIA. HE MAINTAINS BRANCHES
OF HIS FIRM THERE, IN PART TO ELICIT FINANCIAL
SUPPORT FROM THE LARGE EXPATRIATE EGYPTIAN
COMMUNITY WHO OFTEN INVEST IN HIS CONSTRUCTION
PROJECTS. IT IS ALSO RUMORED THAT UNIDENTIFIED
SAUDI SOURCES GAVE MEHELBA HIS INITIAL BOOST
AND MAY ALSO BE CALLED UPON TO RESCUE HIM IF HIS
CURRENT LIQUIDITY PROBLEMS ARE NOT RESOLVED.
-
-
9. TWO OTHER INTERESTING BUSINESS FIGURES HAVE
ALLEGED TIES TO SAUDI ARABIA. ONE, TALAAT
MUSTAFA IBRAHIM (USUALLY KNOWN AS TALAAT MUSTAFA)
RUNS THE HUGE ALEXANDRIA CONSTRUCTION COMPANY.
NO ONE REALLY KNOWS WHERE MUSTAFA GOT HIS ORIGINAL
SEED MONEY: ALEXANDRIANS ARE SUSPICIOUS THAT
MUSLIM BROTHERS (MANY OF WHOM WERE EXILED IN
SAUDI ARABIA) HELPED HIM OBTAIN SAUDI BACKING
IN THE MID-1970'S.
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10. IN ANY EVENT, MUSTAFA TENDS TO WEAR HIS
ISLAM ON HIS SLEEVE, WHILE HIS WIFE, WHO WEARS
THE "HEGAB" OR HEAD COVERING, HAS MADE HERSELF
UNWELCOME IN SOME QUARTERS BECAUSE OF HER INCESSANT
EXHORTATIONS TO OTHER UPPER CLASS WOMEN TO DO
LIKEWISE. MUSTAFA'S MOST CONTROVERSIAL MOVE TO
DATE HAS BEEN THE PLACEMENT OF A LARGE, AND
HIGHLY VISIBLE BILLBOARD, WITH THE ISLAMIC CREED
EMBLAZONED ON IT, ON TOP OF ONE OF HIS BUILDINGS
(86 ALEXANDRIA 1425). HE HAS VERY CLOSE RELATIONS
WITH MUHAMMED RAGAB, AND THE LATTER HAS BEEN
ACCUSED BY DETRACTORS OF TRYING TO PROMOTE HIM
INTO A KEY POSITION WITHIN THE ALEXANDRIA
BUSINESSMEN'S GROUP. TOGETHER, THE TWO WERE
RECENTLY INVOLVED IN A CONTROVERSIAL (BUT NOT
UNPOPULAR) PROPOSAL TO BUILD AN ISLAMIC-ORIENTED
PRIVATE COLLEGE IN ALEXANDRIA. THE MINISTER OF
EDUCATION RECENTLY QUASHED THE IDEA ON CURRICULUM
GROUNDS, BUT MOVES ARE UNDERWAY TO TRY TO RESUSCITATE IT.
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11. ANOTHER "MYSTERIOUS" BUSINESSMAN WHO IS
BECOMING PROMINENT IS HAJJ AHMED EBEID (AKA
AHMAD UBAYD). HE IS AFFILIATED WITH TWO ISLAMIC
INVESTMENT COMPANIES. THERE HAVE BEEN SOME
SUGGESTIONS THAT EBEID IS AFFILIATED WITH ALI
AL-MEHELBA, BUT THIS HAS NOT YET BEEN CONFIRMED.
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ALEXANDRIA ACTIVITIES OF ISLAMIC COMPANIES AND BANKS
--------------------------------------------- -------
12. THERE ARE SEVERAL "ISLAMIC COMPANIES" BASED
IN ALEXANDRIA, INCLUDING AL-ANDALUS ACID
(MENTIONED ABOVE), AL-MADINA AL-MINAWARA (REAL
ESTATE DEVELOPMENT), AL-MARWA, AL-SAFAA, AND THE
ALEXANDRIA CONSTRUCTION COMPANY, AN OLDER
COMPANY FOUNDED IN 1974. A FORMER GOVERNOR OF
ALEXANDRIA TOLD US ON JANUARY 29 THAT THE
ISLAMIC COMPANIES ARE HEALTHY, GROWING RAPIDLY,
AND THAT THIS TREND WILL CONTINUE.
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13. THE LARGEST SUCH FIRM (AND ONE OF THE OLDEST)
IS PROBABLY TALAAT MUSTAFA'S ALEXANDRIA
CONSTRUCTION COMPANY. THIS COMPANY HAS BUILT
600 FLATS IN MONTAZA AND IS CONSTRUCTING SUMMER
FLATS IN MAMOURA. TO THE WEST OF THE CITY, IT
CONSTRUCTED ITS FIRST PROJECT AND A PLANT TO
EXTRACT SALTS IN 1974 AND BUILT 1,500 FLATS TO
ACCOMMODATE THE WORKERS.
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14. IN AN OCTOBER 1986 DISCUSSION, MUSTAFA
STATED THAT HIS COMPANY, LIKE MANY OTHERS, PUTS
ITS MONEY IN THE FAYSAL BANK AND OTHER ISLAMIC
BANKS BECAUSE THEY "TRUST" THEM AND ALSO, BECAUSE
THEY CAN TAKE DOLLARS OUT OF EGYPT "IF OR WHEN
NECESSARY." HE FLATLY DENIED THAT FUNDS FOR
ISLAMIC COMPANIES COME FROM SAUDIS OR THE SAG,
ALLEGING THAT THE MONEY COMES SOLELY FROM EGYPTIAN
EXPATS IN SAUDI ARABIA AND THE GULF WHO WANT TO
INVEST IN EGYPT, BUY FLATS, AND WHO HAVE "MORE
TRUST" IN ISLAMIC INSTITUTIONS THAN IN SECULAR
ONES.
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15. WHILE THE FAYSAL BANK HIRES ONLY MUSLIMS,
(86 ALEXANDRIA 1215), THIS IS NOT TRUE OF SOME
OF THE COMPANIES. A GOOD CHRISTIAN SOURCE TOLD
US RECENTLY THAT HE HAS FRIENDS WHO WORK IN ONE
OF THE AL-ANDALUS COMPANIES. MANY ARE DESIRABLE,
HE SAID, BECAUSE OF THEIR KNOWLEDGE OF FOREIGN
LANGUAGES.
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ISLAMIC WELFARE ASSOCIATIONS IN ALEXANDRIA
------------------------------------------
16. EMBASSY REPORTING 986 CAIRO 28338) HAS
DETAILED THE IMPORTANT ROLE PRIVATE WELFARE
ASSOCIATIONS ROLE PLAY AS A SAFETY NET AND AS A
STABILIZING FORCE IN A CHANGING SOCIETY. SIMILAR
ORGANIZATIONS PROSPER IN ALEXANDRIA, AND MANY OF
THEM ARE SPONSORED BY THE ISLAMIC RIGHT. SOME
OF THESE, LIKE THE "FAJR AL-ISLAM" AND "ASR-AL-ISLAM"
CLINICS MENTIONED IN REF B ARE AFFILIATED TO
RADICAL MOSQUES (COMMENT: THE "FAJR AL-ISLAM"
CHARITABLE SOCIETY WAS THE ONLY ISLAMIC CHARITABLE
SOCIETY IN ALEXANDRIA BANNED BY THE GOE IN THE
1981 CRACKDOWN. THE BAN WAS SUBSEQUENTLY LIFTED.
END COMMENT.)
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17. MORE COMMONLY, HOWEVER, THE ISLAMIC RIGHT
SPONSORS MODERATE CHARITY AND WELFARE ACTIVITIES
WITH FEW OR NO POLITICO-RELIGIOUS TRAPPINGS.
ALEXANDRIA PHYSICIANS ARE PARTICULARLY ACTIVE
IN ESTABLISHING POLYCLINCS. THEY SOLICIT
PRIVATE DONATIONS FROM MOSQUES, BUY THEIR
EQUIPMENT, AND STAFF THEIR CLINICS WITHOUT
ASSISTANCE FROM THE MINISTRIES OF SOCIAL AFFAIRS
OR HEALTH. OFTEN, PHYSICIANS FROM THE UNIVERSITY
DONATE THEIR TIME IN THE AFTERNOONS. HOSTELS FOR
NEEDY FEMALE STUDENTS FROM OUTSIDE ALEXANDRIA,
AS WELL AS DAY CARE AND OLD-AGE CENTERS, ARE OTHER
TYPES OF ACTIVITIES SUPPORTED BY WELL-TO-DO
DEVOUT MUSLIMS. BECAUSE THE GOE IS UNABLE TO
PROVIDE ADEQUATE FACILITIES FOR THESE VERY
NECESSARY ACTIVITIES, ISLAMIC SOCIAL WELFARE
ASSOCIATIONS OF THIS NATURE FULFILL A STABILIZING
SOCIAL FUNCTION.
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PHILANTHROPY FROM THE ISLAMIC RIGHT
-----------------------------------
18. MANY OF THE PROMINENT OWNERS OF ISLAMIC
COMPANIES, SUCH AS MOHAMMED RAGAB, MUSTAFA AL-NAGGAR,
AND DR. ALI MAHELBA, ARE ALSO WELL KNOWN
PHILANTHROPISTS. FOR EXAMPLE, RAGAB AND AL-NAGGAR
HAVE CONTRIBUTED LARGE AMOUNTS OF MONEY TO A NEW
DRUG REHABILITATION HOSPITAL IN MONTAZA;
AL-NAGGAR HAS DONATED VERY EXPENSIVE EQUIPMENT
TO THE UNIVERSITY OF ALEXANDRIA HOSPITAL; AND
DR. MAHELBA TOLD US VERY RECENTLY THAT HE IS SETTING
UP A PROJECT TO SUPPLY FOOD TO THE POOR BY GETTING
WEALTHY PEOPLE TO DONATE PROVISIONS. THE PROJECT HAS
BEEN WORKED OUT ON PAPER; HE NOW SEEKING SOMEONE
TO ADMINISTER IT. THIS LIST OF PHILANTHROPIC
ACTIVITIES IS A LONG ONE AND AN IMPORTANT
(AND IN SOME CASES, VITAL) SOURCE OF SUPPORT TO
BOTH PUBLIC AND PRIVATE HOSPITALS, CLINICS,
ORPHANAGES, AND SPECIALIZED WELFARE INSTITUTIONS.
WITH THE POSSIBLE EXCEPTION OF USAID, "ISLAMIC"
BUSINESSMEN ARE PROBABLY THE MOST IMPORTANT BENEFACTORS
OF PRIVATE VOLUNTARY ORGANIZATIONS (ISLAMIC OR
OTHERWISE) IN ALEXANDRIA AT THE PRESENT TIME.
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19. CONCLUDING COMMENT: ALTHOUGH THE ECONOMIC
SQUEEZE DEPICTED IN 86 ALEXANDRIA 1301 HAS EASED
SOMEWHAT, INCREASED NUMBERS OF UNEMPLOYED AND RISING
PRICES CONTINUE TO BE A SERIOUS POTENTIAL PROBLEM
IN ALEXANDRIA, AS ELSEWHERE. THE LOCAL GOVERNMNET
IS TRYING TO GET A HANDLE ON THE MANY INFRASTRUCTURAL
INADEQUACIES AND GENERAL UNCLEANLINESS WHICH
PLAGUE ALEXANDRIA, BUT THE PROBLEMS THE GOVERNORATE
FACES CLEARLY OUTNUMBER THE AMOUNT OF RESOURCES
IT HAS AVAILABLE TO CORRECT THEM OR AT LEAST
BRING THEM UNDER CONTROL.
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20. IN THIS SENSE, THE EXPANDING ISLAMIC
PRIVATE SECTOR COMPANIES ARE A CONSTRUCTIVE
FORCE, PROVIDING JOBS AND CONTRIBUTING GENEROUSLY
TO VITALLY NEEDED SOCIAL SERVICES THROUGH A WIDE
RANGING COMMITMENT TO WELFARE AND PHILANTHROPIC
ACTIVITIES. THUS, WHILE IT HAS BECOME FASHIONABLE
IN SOME QUARTERS TO VIEW THE ISLAMIC RIGHT
SOLELY IN TERMS OF A THREAT TO EGYPTIAN STABILITY,
IN SOME RESPECTS, MODERATE ISLAMIC PROPONENTS
MIGHT ACTUALLY CONTRIBUTE TO EGYPT'S STABILITY,
PROVIDED THE ECONOMY DOES NOT FURTHER DETERIORATE
AND RADICALIZE KEY SEGMENTS OF THE POPULATION.
IF THIS WERE TO HAPPEN, EXTREMIST LEADERS FROM
THE ISLAMIC RIGHT, WHO IN ALEXANDRIA HAVE ADOPTED
A LOW PROFILE, COULD VERY WELL TRY TO EXPLOIT
A TROUBLED SITUATION AND SEIZE THE INITIATIVE
FROM THE NAGGARS, THE RAGABS, AND THEIR ILK
WHO, DESPITE THEIR FINANCIAL SUPPORT FOR SOME
NON-VIOLENT RADICAL ELEMENTS, SEEM DEDICATED ONLY
TO SLOW, EVOLUTIONARY CHANGE IN EGYPT. END
CONCLUDING COMMENT.
HAMBLEY